Pigeon Corporation (TSE: 7956)
Price (as of June 30, 2024): ¥1,454.5 (retroactively adjusted) P/E (forward): 22.9 EPS (CE): ¥63.54
Sector: Manufacturing of baby and mother care products
The accounting standard for revenue recognition has been changed from FY 2021/12. See the notes for details.

Business Profile
Fundamentals

June 2024

Market Cap (￥M)
PE Forward (times)
Dividend Yield (%)

176,945
22.9
5.23
June 2024

Net Sales (￥M)
Operating Income (￥M)
Net Income (￥M)

51,3135,822
3,574
June 2024

Total Assets (￥M)
Total Shareholders' Equity (￥M)Interest-Bearing Debt (￥M)
Retained Earnings (￥M)

108,392

Key Financial Indicators

June 2024

Gross Profit/Net Sales (%)
Operating Income/Net Sales (%)
Net Income/Net Sales (%)
SG&A/Net Sales (%)
Equity Ratio (%)

66,90058,057

48.8
11.3
7.0
37.4
75.4

Segment Information

June 2024

Japan Business (￥M)
China Business (￥M)
Singapore Business (￥M)
Lansinoh Business (￥M)

18,002

Shareholder Profile

June 2024

Financial Institutions (%)
Individuals and Others (%)
Non-Japanese Corporations (%)
Japanese Corporations (%)
Treasury Stock (%)

19,629
7,094
10,092Global #1 market share for Nursing Bottles. For more than 60 years since its
establishment, the Pigeon Group has continued conducting intensive R&D withthe aim of bringing happiness to babies and their families. We offer highly
competitive products and services and are now expanding our business over 90
markets around the world.
We are promoting the "8th Mid-Term Business Plan" starting in 2023 to flexibly
respond to the rapidly changing global business environment and to ensuresustainable growth. In addition to sustained growth in existing business areas, weare aggressively restructuring our business structure by focusing on exploring andnurturing new growth areas where we can leverage our knowledge and expertise.

Performance Overview (2nd Quarter)
Sales of the Pigeon Group expanded during the consolidated first half under review,
while earnings retreated. Net sales grew to ¥51,313 million (up 6.9% YOY), buoyedby yen depreciation and led by the China Business and Lansinoh Business. Inearnings, higher revenues boosted gross profit margin, but the Group invested
heavily in selling, general and administrative expenses in a vigorous effort to bolster
net sales and market share for nursing bottles and the baby skincare category,particularly in the China Business. Operating income fell to ¥5,822 million (down10.6% YOY), ordinary income declined to ¥6,431 million (down 9.6% YOY) and net
income attributable to owners of parent dropped to ¥3,574 million (down 21.7%YOY).

Forecast

17.8
6.0
1.6

Note："Shareholder Profile" is rounded to the first decimal place.

Stock Data

June 2024

Number of Shares Outstanding
Number of Shareholders

121,653,486
75,016

Currency exchange rate for 2024 (CE): $1 = ¥135.00¥ Million$ Thousand

2024/12(A)Q251,3132023/12(A)Full-year
94,4612024/12 (CE)
Full-year *101,000

2024/12 (CE)
Full-year *748,148

Operating Income

5,822

10,726

11,40084,444Net Income

3,574

7,423

7,600

56,2962024/12(A)
Q2
29.89

2023/12(A)Full-year
62.06

2024/12 (CE)
Full-year
63.54

2024/12 (CE)
Full-year
0.47

38.00

76.00

76.00

0.56

Net Sales

¥

39.8
34.9

A: Actual; CE: Company Estimate

EPS
Cash Dividend per Share$Note:The Group has applied the Accounting Standard for Revenue Recognition (ASBJ Statement No. 29; March 31, 2020;
hereinafter, “Accounting Standard for Revenue Recognition”) from the beginning of the previous consolidated fiscal year
under review. In accordance with the Accounting Standard for Revenue Recognition, when control of a promised good orservice is transferred to the customer, revenue will be recognized at the amount expected to be received in exchange forthe good or service.

Strengths
・Japanese baby and mother care products brand well known in the world.
・Number one baby products brand in Japan, China and growing in emerging markets.
・Number one breastfeeding products brand in US and Europe (Lansinoh brand)

Disclaimers:
This report may contain information pertaining to forward-looking statements, such as projected results. Consequently, it is possible that the actual results may vary significantly from such projections
due to a wide range of factors such as social, economic and industry conditions. Readers of this report are requested to make decisions on investment after referring to financial materials submitted
by issuing companies, such as reports on securities, and based on his/her individual judgment. Pigeon Corporation bears no liability whatsoever should any damage or injury be caused by any errors
contained in information or content contained in this report.

Summary Financial Data

*1 Years ended Dec. 31*2 Six months ended June 30¥ Million$ Thousand

YOY Change

2022*12023*12023*1(%)

Net Sales

93,08094,921

94,461

620,882

Cost of Sales

49,00850,08749,008Gross Profit

44,072

44,83445,452

SG&A Expenses

30,73532,638Operating Income

13,336

Other Income (Loss)

1,312

Ordinary Income
Extraordinary Income (Loss)

Profit and LossNet Income Attributable to Non-controlling Interests
Net Income Attributable to Owners of Parent

Profit and Loss

Balance Sheet$ Thousand

YOY Change

2024*22024*2(%)(0.5)

48,00251,313

337,275

6.9

322,124(2.2)

24,70026,291

172,808

6.4

298,751

1.4

23,301

25,021

164,460

7.4

34,726228,250

6.4

16,78919,198126,186

14.3

12,195

10,72670,501(12.0)

6,511

5,822

38,267(10.6)

1,269

797

5,239

(37.2)

606

609

4,003

0.5

14,64813,465

11,52275,733(14.4)

7,117

6,431

42,270(9.6)(1,117)

(322)

(368)

(2,419)

14.3

(3)

(289)

(1,900)9,533.3

193

179

137

900

(23.5)

89

88

578(1.1)

8,785

8,581

7,423

48,791(13.5)

4,566

3,574

23,492(21.7)$YOY Change

2022*12023*12023*1(%)

2023*22024*22024*2

73.44

71.72

62.06

0.4

(13.5)

38.17

29.89

0.2

74.00

76.00

76.00

0.5

0.0

38.00

38.00

-

$ Thousand

YOY Change(%)¥

2021*1EPS
Cash Dividend per Share¥ Million

2023*22021*1¥ Million

2021*12022*12023*12023*1¥$¥ Million

YOY Change(%)(21.7)-$ Thousand

YOY Change(%)

2023*22024*22024*2

Cash and Time Deposits

35,21834,28334,357

225,8250.2

32,48035,335232,253

8.8

Notes and Accounts Receivable

16,253

15,975

14,412

94,729(9.8)

17,145

21,346140,305

24.5

Inventories

12,70615,31813,53588,964(11.6)

16,83914,45795,024(14.1)

Tangible Fixed Assets

27,09330,132

31,952210,017

6.0

32,71531,013203,845(5.2)

Intangible Fixed Assets

2,572

2,308

1,483

9,748

(35.7)

1,997

1,339

8,801(32.9)

Total Assets

98,042

101,733

100,440

660,181(1.3)

105,091

108,392

712,449

3.1

Notes and Accounts Payable

4,087

5,066

3,643

23,945(28.1)

4,647

5,463

35,908

17.6

--76

500-

67---

Total Net Assets

76,81079,952

81,087532,976

1.4

83,056

84,953558,387

2.3

Total Shareholders' Equity

70,062

69,70667,876446,142(2.6)

69,57066,900439,727

(3.8)

75.4

75.4

77.2

2.4

75.7

75.4

Interest-Bearing Debt

Equity Ratio (%)(0.4)

Currency exchange rate (as of June 30, 2024) : $1 = ¥152.14

Corporate Data
(As of June 30, 2024)
Head Office
4-4, Nihonbashi-Hisamatsucho, Chuo-ku,
Tokyo 103-8480
TEL: +81-3-3661-4204 FAX: +81-3-3661-4320
https://www.pigeon.com/Established
August 15, 1957
Paid-in Capital¥5,199,597 thousand
Number of Employees
3,590 (Worldwide, Includes Part-time employees)
345 (Japan, Full-time employees)
Fiscal Year-End
December 31
Annual Shareholders’ Meeting
End of March
Stock Trading Unit
100 shares
Inquiries
Business Strategy Division
Business Strategy Department
Business Strategy Section
https://ssl.pigeon.co.jp/investor/en/index.html

Disclaimers:
This report may contain information pertaining to forward-looking statements, such as projected results. Consequently, it is possible that the actual results may vary significantly from such projections
due to a wide range of factors such as social, economic and industry conditions. Readers of this report are requested to make decisions on investment after referring to financial materials submitted
by issuing companies, such as reports on securities, and based on his/her individual judgment. Pigeon Corporation bears no liability whatsoever should any damage or injury be caused by any errors
contained in information or content contained in this report.